Judicial Council of Volume 5, Issue 8 Administrative Office of the Courts Office of Governmental Affairs August 2003

T HE CAPITOL CONNECTION

GOVERNOR SIGNS BUDGET INSIDE THIS ISSUE alling it “no reason for celebration,” $17.7 to $8.5 million in the judiciary and C Governor Davis signed the Budget Act from $116 to $85 million in the trial of 2003 and a companion bill, AB 1759 on courts and replaced the funding for reduc- August 2. Part of the budget package, AB tions that were tied to the adoption of the Legislative Review 2 1759 raises existing court fees and imposes a security, electronic recording, and owner- number of new ones. Other than technical ship of the record proposals. The plan The Gubernatorial adjustments and a 15-day delay in the effec- signed by the governor includes a further Recall: In their own 4 tive date of most of the fees, the new and reduction in the Trial Court budget of Words increased fees previously reported here have $11 million, to be offset by decreased se- been enacted without any changes. curity costs. The budget act requires the Ripped from the 6 Readers will recall that the Legislature’s sub- Judicial Council to adopt rules, standards Headlines committees rejected the $133.7 million in and policies to reduce and constrain unallocated reductions. Instead, the Legisla- growth in trial court security costs. For a Other Groups Propose description of the fee changes, please see Changes to the Justice 8 ture adopted reduced reductions proposed System in the Governor’s January budget from the July issue of The Capitol Connection.

UNFAIR COMPETITION LAW REFORMS MOVE FORWARD wo bills that together seek to reform the state’s Unfair by the plaintiffs’ bar to increase awards, rather than a T Competition Law (UCL) passed key legislative commit- meaningful reform of the UCL. The bill’s supporters tees and will be headed for floor votes after the Legislature contend that SB 122 would discourage frivolous filings returns from its recess on August 18. The bills are the survi- under the UCL and that disgorgement is an appropriate vors among a number of legislative attempts to respond to remedy. the tactics of a number of law firms that access public infor- The other bill, AB 95 by Assembly Member Ellen Corbett mation about administrative violations of small businesses (D-San Leandro), would require a plaintiff in a UCL ac- and then threaten actions under the UCL to extract settle- tion to provide the defendant with information regarding ments. his or her rights, including the right to seek legal advice. SB 122 by Sen. Martha Escutia (D-Whittier) passed the As- The notice would also inform defendants about how to sembly Judiciary Committee on a partisan 9-4 vote. This bill, get more information about UCL actions. supported by the plaintiffs bar, seeks to discourage frivolous Both bills must be enacted for either of them to become filings under the UCL by requiring that anyone bringing an effective. action would have to submit a copy of the complaint to the State Bar or face possible disciplinary measures for failure to The Legislature’s interest in UCL reform is a result of the do so. The bill would also require court approval of any at- tactics of a number of firms, including Beverly Hills’ torney fees paid under a private UCL action brought on be- Trevor Law Group. The firm’s attorneys have been sued half of the general public. by the Attorney General, and suspended from the practice of law by the State Bar. All three Trevor attorneys have The most controversial provision of the bill would allow resigned from the Bar rather than face disbarment pro- plaintiffs to seek disgorgement of a defendant’s profits ceedings. gained through unfair business practices. This provision has led pro -business advocates to denounce the bill as an attempt The Capitol Connection Page 2 LEGISLATIVE REVIEW

he following is an update on selected court-related of outstanding fees, fines, penalties, and assessments. T bills. Status: Assembly Floor JC position: Sponsor COURT ADMINISTRATION AB 782 (Kehoe), as introduced. Trial court employees: COURT OPERATIONS employment relations AB 1710 (Assm. Jud. Comm.), as amended July 15, Grants to the Public Employment Relations Board author- 2003, Court operations ity to process claims involving violations of statutes or rules Includes a number of substantive and technical changes relating to employment relations between trial courts and pertaining to court operations: makes technical and clari- recognized employee organizations. fying amendments in the areas of family and juvenile law; Status: Senate Judiciary Committee allows Court Appointed Special Advocate programs to JC Position: Oppose unless amended seek criminal background information on prospective vol- unteers directly from the Department of Justice, instead of AB 1641 (Keene), as amended July 16, 2003. Emergency working through the court; clarifies that the 10 percent Powers surcharge does not apply to fees that were incorrectly Gives the Chief Justice additional flexibility to take neces- listed in the 2002 budget trailer bill AB 3000; provides sary actions in a state of judicial emergency. that the 20 percent surcharge established in budget trailer Status: Assembly Floor (Concurrence in Senate amend- bill AB 3000 is not remitted to the county as part of the ments pending) traffic violator school fee but instead is remitted to the JC Position: Sponsor state General Fund; allows the jury instruction royalties to SB 328 (Senate Judiciary Committee), as amended June be deposited in the Trial Court Improvement Fund to 4, 2003, Trial Court Facilities Act: Clean Up fund continued improvement of the jury system. Makes technical changes and corrections to the Trial Court Status: Assembly Floor (Concurrence in Senate amend- Facilities Act. Repeals an obsolete provision related to ments pending) Fresno County employee classifications. JC Position: Sponsor Status: Assembly Appropriations Committee JC Position: Co-Sponsor CIVIL AB 95 (Corbett), as amended May 12, 2003. Unfair com- SB 818 (Escutia), as amended June 17, 2003. Trial Court petition law: private actions Interpreter Employment and Labor Relations Act: Clean Includes new notice provisions to inform defendants of Up their rights in UCL actions, and clarifies joinder provi- Revises a number of the implementation dates and extends sions. Provides that this bill becomes operative only if SB the ending date of the regional transition period for the 122 is enacted, and provides that the provisions of the bill program from January 1, 2005, to July 1, 2005. Makes are not severable. other revisions to the act, including technical nonsubstan- Status: Senate Floor tive changes. Status: Senate Floor (Concurrence in Assembly amend- AB 1712 (Assembly Judiciary Committee), as amended ments pending) July 22, 2003. Civil procedure clean-up JC Position: Co-Sponsor Conforms various statutory provisions of law to the aboli- tion of municipal courts and their unification within the SB 940 (Escutia), as amended July 10, 2003, Enhanced superior courts. Makes other technical and clarifying Collection of Court-Ordered Penalties changes with respect to judicial arbitration proceedings, Requires the Judicial Council to adopt guidelines for a jury lists, service of process, small claims court, and wit- comprehensive collection program, establish a collabora- ness fees. tive court-county working group on collections, and report on the effectiveness of collection programs. Authorizes the Status: Senate Floor JC Position: Sponsor Judicial Council to establish a program providing for the suspension and non-renewal of business and professional (Continued on page 3) licenses and an amnesty program involving the collection The Capitol Connection Page 3 L EGISLATIVE REVIEW

(Continued from page 2) or her to the court authorized to hear an appeal of the SB 122 (Escutia), as amended July 16, 2003. Unfair com- judgment in the main action. In the alternative, allows petition law : private enforcement actions the party to a criminal action to include a challenge to the Requires the court to review the attorney's fees to be paid sanction order or finding of contempt in its appeal after in a settlement or other pre-trial disposition of any private entry of final judgment in the main action. Requires the action brought in the public interest to enforce the UCL. court to stay the execution of the order or imposition of Provides that the court may order any equitable relief, in- punishment pending appeal, unless it finds on the record cluding disgorgement, as an available remedy in private that a stay would frustrate the interests of justice. UCL actions. Clarifies that defendants cannot be joined in Status: Senate Public Safety Committee a UCL action just because they are engaged in the same or JC Position: Oppose similar businesses and are alleged to have violated the same SB 3 (Burton), as amended June 26, 2003. Death pen- or similar laws. alty: mental retardation Status: Assembly Floor In response to the U.S. Supreme Court's decision ban- ning execution of a mentally retarded defendant (Atkins v. CRIMINAL LAW Virginia, 536 U.S. 304), establishes a process requiring a AB 155 (Kehoe), as amended June 10, 2003. Criminal court to order a trial, prior to the adjudication of guilt, to procedure: good cause continuance. determine whether a defendant is mentally retarded. Provides that good cause for a continuance in a homicide Places the burden on the prosecution to prove beyond a or forcible sex crime case may include the temporary un- reasonable doubt that the defendant is not mentally re- availability of requested forensic DNA analysis results and tarded. reports, when the DNA evidence at issue is pending analy- Status: Assembly Appropriations Committee sis at a laboratory at the time a motion for continuance is made. SB 877 (Hollingsworth), as amended July 15, 2003. Status: Failed passage Criminal procedure: discovery Provides that in cases in which the court orders the prose- JC Position: Neutral cution to provide copies of child pornography evidence to AB 1273 (Nakanishi), as amended May 1, 2002. Continu- the defense, the court may issue any order it deems appro- ances priate to limit the defense to using that evidence in ways States that provisions specifying the procedures to continue that are reasonably necessary to developing and defending a hearing in a criminal proceeding are directory only and the case. Requires the court to give great weight to pro- do not mandate dismissal of an action. Also provides that a tecting the identity and the rights of any victim featured court or magistrate shall not dismiss a case if a party fails to in the evidence when drafting orders directing the de- comply with these procedures. fense's use of the evidence, while still taking into account Status: Chaptered, Ch. 133 the defendant's right to prepare for trial. JC Position: Neutral Status: Enrolled

AB 1306 (Leno), as introduced. Proposition 36: transfer JC Position: Neutral of jurisdiction Provides that if a person is sentenced pursuant to the Sub- FAMILY LAW stance Abuse and Crime Prevention Act (Proposition 36), AB 111 (Corbett), as amended May 5, 2003. Child cus- probation and jurisdiction shall be transferred to the defen- tody: emotional abuse. dant’s county of permanent residence at the discretion of In child custody proceedings, requires the court to con- the sentencing judge. sider unjustifiable mental suffering inflicted upon a child Status: Senate Appropriations Committee when determining the best interest of the child. Also re- JC Position: Sponsor vises the definition of unjustifiable mental suffering in the child abuse statutes in the Penal Code. AB 1653 (Mullin), as introduced. Appeals: attorneys: con- Status: Senate Public Safety Committee tempt

Allows an attorney for a party to a criminal proceeding to (Continued on page 4) appeal a sanction order or finding of contempt against him The Capitol Connection Page 4 LEGISLATIVE REVIEW (Continued from page 3) JURIES AB 1108 (Bermudez), as amended July 22, 2003. Child AB 1180 (Harman), as amended July 2, 2003. Sanction- custody: drug testing ing of jurors Authorizes the court in a child custody proceeding to order Clarifies that when an individual is summoned but fails to a parent to undergo testing for “the illegal use of controlled appear for jury service, the court may, in lieu of using con- substances or alcohol” if the court has determined, by a tempt procedures, impose reasonable monetary sanctions preponderance of evidence, that there is “the illegal use of on the prospective juror following an order to show cause controlled substances or alcohol.” hearing. Status: Senate Judiciary Committee Status: Senate Appropriations Committee

SB 265 (Kuehl), as amended June 12, 2003. Child cus- JC Position: Sponsor tody: domestic violence Changes the operation of the rebuttable presumption JUVENILE against custody to a person who has perpetrated domestic SB 59 (Escutia), as amended June 11, 2003. Dependent violence. children: appeals Status: Senate Concurrence Creates a writ process for juvenile dependency cases in- volving disputed placement orders that are made after pa- SB 734 (Ortiz), as amended May 22, 2003. Child custody rental rights have been terminated. and visitation Status: Senate Concurrence Makes various changes related to supervised visitation. JC Position: No position Among other things, sets out various factors that the court must consider before granting unsupervised visitation. Status: Two Year Bill JC Position: Oppose unless amended

T HE GUBERNATORIAL RECALL: I N THEIR OWN WORDS he Capitol Connection has collected quotes about the will be a recall, which they decided.” T gubernatorial recall from public figures as reported in San Diego Union-Tribune (July 31, 2003) various publications. David Maslin, Davis pollster: Governor : “Right now their choices are basically: right-wing crook, “This election is not about changing governors, it’s about right-wing boob, supposed moderate that nobody knows changing direction, and I am confident the voters of this what he stands for, and a cigar-smoking movie actor kil- state will not opt for a right-wing agenda over a progressive ler.” agenda. I don’t think any person’s personal agenda ought San Jose Mercury News (July 28, 2003) to be the reason to put this state through the wringer.” San Diego Tribune (July 23, 2003) Art Torres, chairman of the state Democratic Party: “[Riordan’s] got some real weaknesses in terms of age and Dan Schnur, Republican strategist: the ability to run a state as large as California. You’re go- “The biggest complaints about Davis are not merely ideo- ing to have to have someone with an attention span larger logical. The biggest criticisms are that he has not been will- than I think Dick has….I don’t say that in a derogatory ing to expend political capital to take on the most urgent sense.” problems. He doesn’t want to ruffle feathers or make any- Times (July 31, 2003) one mad.” Christian Science Monitor, (July 15, 2003) Attorney General Bill Lockyer “If they do the trashy campaign on Dick Riordan… I think President George Bush: there are going to be prominent Democrats that will de- “I think the most important opinion is not mine, but it’s fect and just say, ‘We’re tired of that puke politics. Don’t the people of California. Their opinion is what matters on (Continued on page 5) the recall. It’s their decision to decide whether or not there The Capitol Connection Page 5 I N THEIR OWN WORDS (Continued from page 4) Willie Brown, mayor of : you dare do it again or we’re just going to help you pull the “If successful this time, recalls will become the order of plug.’ There is a growing list of prominent Democrats that, the day in this wacko state.” if that’s how it evolves, are going to jump ship.” San Francisco Chronicle (July 30, 2003) Sacramento Bee (August 1, 2003) Lee D. Baca, Los Angeles County sheriff: Roger Salazar, Democratic strategist: “It’s destroying the state. California will be the laughing- “The recall mechanism was designed to be able to take care stock of the nation if this thing succeeds and we elect a of problems that arise when a leader has committed some guy with 15 percent of the vote who can’t find his way to gross malfeasance. What we have here is essentially a ma- the bathroom in the State Capitol.” nipulation of the existing process by a multimillionaire New York Times (July 25, 2003) who is bent on buying himself a seat in the governor’s of- fice.” Professor John Pitney, Claremont McKenna College: (July 13, 2003) “California used to be the example that other places wanted to follow. Now we’re the example that other Garry South, Democratic strategist: places want to avoid. The last thing a politician wants to “Let’s say you run and you win: what have you won? You say in Oregon is, ‘Let’s follow California’s lead.’” get no transition period. You take over a staff appointed by Sacramento Bee (July 17, 2003) Gray Davis. There are seven constitutional officers who are Democratic – all of whom can investigate you, audit you “If [Davis] spends all his time simply defending his own and have press conferences on the steps of the Capitol stewardship, he has a lot to answer for. A winning strategy against you. The budget deficit doesn’t go away. Not one is to frame the election (as Davis) versus a Republican more job is created. It doesn’t bring the economy demon. If it’s Davis versus Davis, Davis loses.” back….Except now the gum isn’t on Gray Davis’ shoes – Contra Costa Times (July 15, 2003) it’s on yours. The highlights of your career will be the day you are elected. It will be all downhill from there.” Sal Russo, Republican strategist: “We have referendum and recall in our constitution, and San Francisco Chronicle (July 22, 2003) it empowers people with the ultimate responsibility. If George Sundheim, chairman of the California Republi- other states don’t want that, then bully for them. We’ve can Party: had it here since 1911, yet this is the first time it’s ever The recall “is more than just three guys, an attitude, and a been used against a governor, because we know it’s an fax machine. I really think the people get what’s going on extraordinary remedy.” in Sacramento. Nobody’s really focusing on the issues, no- Philadelphia Inquirer (July 13, 2003) body’s providing leadership. The recall is a rejection of the system up there and how dysfunctional it is.” Mark DiCamillo, Field Poll Director: San Francisco Chronicle (July 25, 2003) “Maybe the Democrats will hold the party line, but in politics, usually someone steps in to fill a vacuum. For an Frank Luntz, Republican pollster: ambitious Democrat, there’s an opportunity there.” “While it is important to trash the governor, it should be Sacramento Bee (July 16, 2003) done in the context of regret, sadness, and balance. The Sacramento Bee (July 18, 2003) Peter Camejo, Green Party 2002 gubernatorial candi- date: Bob Mulholland, Democratic strategist: “What do those Democrats do if they have no alternative “I attended [the recall] rally last Saturday outside the State to voting for a Republican? My message will be: Do not Capitol where I spoke with a number of recall activists. hand the governor’s seat to the Republicans. Vote for me. Once again, it was the Republican base: 98% anglo, anti- And wouldn’t it be an irony if (the GOP-led-recall) results choice zealots and homophobes, Young Americans for in the most progressive governor in the history of Califor- Freedom (always too busy with their ‘causes’ to join the nia?” military), along with the old guys chewing tobacco with San Francisco Chronicle (July 25, 2003) wives carrying open cans of beer in their gun purses.” Capitol Morning Report (July 30, 2003)

The Capitol Connection Page 6 RIPPED FROM THE HEADLINES “Ripped From the Headlines” highlights news stories of inter- billion by 2006, when the first phase of the IBM plan is com- est including headlines and lead paragraphs, without editorial plete, according to a report last year from the California State comment from The Capitol Connection. Auditor.

“New Push To Lower Bar On Passage” Sacramento Bee (July Only South Carolina and California continue to pay federal 4, 2003) penalties. With Californians increasingly disgusted over lawmakers' Initially, officials say, every county will be placed on one of inability to solve the state's record-setting budget crisis, a mil- two existing systems. The systems will then be linked to cre- lion-dollar campaign was launched Thursday to place before ate one large database, to satisfy the federal demand for a voters a measure to make it easier for the Legislature to pass a unified approach. budget -- and raise taxes. “Church Mulls Challenge To Sex-Abuse Law” Daily Journal The proposed constitutional amendment would lower the (July 17, 2003) threshold for passing a budget from a supermajority to a 55 Defense attorneys for the Roman Catholic Church are threat- percent majority of each legislative house. It also would force ening to challenge a retroactive law that opened the door to the governor and legislators to forfeit their pay and living hundreds of civil liability suits over decades-old sexual abuse expenses for every day they exceed the state's June 15 budget by priests. The threat follows a recent U.S. Supreme Court deadline. ruling striking down retroactive criminal child-abuse laws. “Financial Privacy Bill Killed Once Again By Lawmakers” A successful challenge could wipe out all but a few priest mo- Oakland Tribune (July 9, 2003) lestation suits, leaving victims of clergy sex abuse without Consumers' all-out, four-year legislative struggle to win land- compensation or a way of holding the church and its leaders mark financial privacy rights from businesses died Tuesday accountable, plaintiffs' lawyers said. with final rejection of a Bay Area lawmaker's bill, likely dumping the high-stakes battle in the laps of voters. Inspiration for church defenders came June 26, when the Supreme Court struck down California's retroactive exten- "SB 1 may be dead but this fight is far from over," said state sion of the criminal statute of limitations for crimes of moles- Sen. Jackie Speier, the San Mateo Democrat who authored tation as violating the Ex Post Facto Clause of the Constitu- the legislation. "Voters will make their choice on this soon tion. Stogner v. California, 2003 DJDAR 6986 (U.S. June 26, enough." 2003). Supporters of an initiative that would even more sharply curb Sensing the potential for a sea change in attitudes toward the the sale of customers' personal information by financial com- sex scandal, church defenders last week said they are looking panies -- thereby squelching telemarketers, junk mail and for parallel legal arguments to wield in civil court or during spam -- said their proposal is close to qualifying for the March settlement talks. statewide ballot. “Proposition 36 Benefits 30,000” San Bernardino County Sun Proponents of the initiative said the defeat in the Legislature (July 17, 2003) will boost their efforts, which polls show are heavily backed A university study of the state ballot measure diverting non- by the public. violent drug offenders to treatment found that methampheta- “State Signs Multi-Million Dollar Deal With IBM For mine users and whites made up a majority of the 30,000 peo- Child Support Tracking System” Sacramento Bee (July 15, ple sent to rehabilitation. 2003) Half who received treatment instead of jail under Proposition Officials at the state Department of Child Support Services 36 were arrested for using methamphetamine, while 15 per- signed an eight-year, $801 million deal with IBM Monday for cent were cocaine users, according to UCLA researchers. a statewide computer system to streamline the child support Twelve percent were marijuana users and 11 percent used collection process and save Californians millions of dollars in heroin, the researchers said. fines. The measure allows first- and second-time nonviolent drug The technology will help officials locate and track non- users to receive treatment instead of jail. Those who complete custodial parents who owe money, as well as simplify the col- the program could have their arrests removed from their re- lection and distribution of payments. The state has been pay- cords. Those who drop out are in violation of probation and ing penalties since it missed a 1997 federal deadline to imple- ment an automated system. Those payments will total $1.3 (Continued on page 7) The Capitol Connection Page 7 R IPPED FROM THE HEADLINES

(Continued from page 6) “Both Sides Needed a Budget Deal” Los Angeles Times (July face jail time if they are caught. 27, 2003) It looked hopeless. Democrats wouldn't accept more spend- The report released Wednesday found about half who re- ing cuts. Republicans wouldn't swallow new taxes. The two ceived treatment were white, 31 percent were Latino, and 14 sides couldn't find a way to close a $38-billion shortfall or percent were black. fulfill their most basic constitutional duty: passing a budget. The state-commissioned study by the Integrated Substance Months of legislative hearings, repeated "Big Five" meetings Abuse Programs at UCLA was the first independent analysis of Gov. Gray Davis and four legislative leaders proved fu- of the proposition, which took effect July 2001. tile. Neither side would budge. “High Court Clarifies Prop. 21 Prosecution” Daily Journal The irresistible force, Senate President Pro Tem John Bur- (July 18, 2003) ton said ruefully, had met the immovable object. Prosecutors seeking to charge juveniles as adults with murder or rape under Proposition 21 can initiate prosecutions with Only two people could get it done. With Davis distracted grand jury indictments, not just information filed by the dis- by an accelerating recall movement, and with the Assembly trict attorney, the California Supreme Court ruled Thursday. hopelessly fractured, the solution would have to come from Burton and Senate Republican leader Jim Brulte — the two The unanimous high court ruling allows a district attorney to men with the standing and the hold over their delegations avoid a preliminary hearing for the sake of speed or strategy. to forge something of a compromise. Guillory v. Superior Court, 2003 DJDAR 7885. So they put their staffs to work. What they unveiled in a "It opens up for DAs the opportunity to expedite juvenile news conference Thursday was nothing pretty. The pro- cases by not having to go through the rigmarole of a prelimi- posal relies heavily on borrowing. It narrows the shortfall nary hearing," said Contra Costa Deputy District Attorney but doesn't eliminate it. But it saves face all around. It car- Douglas Pipes, who argued the case before the Supreme ries no new taxes, appeasing the Republicans. And it does Court. not shred the social safety net with deep budget cuts — However, defense lawyers said that situation could lead to un- something that a defiant Burton had said he would never fairness to defendants. countenance.

“Consumer Bills Wither In Assembly” Los Angeles Daily “A Budget Process Built To Fail” Los Angeles Times (July News (July 19, 2003) 29, 2003) Consumer-protection bills are dying in the Assembly, not from For a California Legislature that couldn't agree on very votes against them but because many members in key commit- much this budget season, there is surprising consensus on tees aren't voting at all. one point: its own ineptitude.

It's happening too often to be a coincidence, consumer advo- Disdainful as the public is of lawmakers' performance, the cates and some state senators say. Because an abstention or verdict of state officials is scarcely more forgiving. absence is the same as a no vote, the bill is defeated without The failure is rooted in a trio of political realities, some legislators having to take a stand that would either anger con- well-intended, that have conspired over time to inhibit the stituents or campaign contributors. Legislature from meeting big challenges, according to past That happened recently to a proposal to restrict the sale of and present lawmakers and political analysts. personal financial information by businesses operating in Cali- A strict term limit law approved by voters in 1990 has fornia. Other consumer-oriented legislation suffered the same drained the Legislature of members steeped in the workings fate, including bills that would have limited the reasons an of the institution, skilled in the art of compromise. insurance company could refuse to renew a homeowner's cov- erage, barred insurers from using credit history to set policy A redrawing of legislative districts two years ago is filling the prices, prohibited unsolicited e-mail ads and re-regulated the chambers with ideologues at both ends of the spectrum, the state's electricity market. result of carving safe districts that protect incumbents.

Sen. Jackie Speier, a San Mateo Democrat who wrote the fi- And a state constitutional requirement that the budget pass nancial privacy bill, traces the pattern to the Assembly's tight by a two-thirds vote is proving a daunting barrier. term limits, competition for campaign money to move up the political chain and "corporate Democrats."

OTHER GROUPS PROPOSE CHANGES TO THE JUSTICE SYSTEM

Judicial Council of California n addition to the Judicial Council, a number of other organizations sponsor legisla- Administrative Office of the tion involving California’s justice system. Here are the legislative programs of some of Courts I Office of Governmental Affairs the organizations. (For information on the council’s position, if any, on these bills, ac- cess the Office of Governmental Affairs status chart on pending legislation at 770 “L” Street, Suite 700 http://www.courtinfo.ca.gov/courtadmin/aoc/oga.htm ) Sacramento, CA 95814 Telephone 916-323-3121 Fax 916-323-4347 State Bar Board of Governors Bill Author Summary Editorial Board Martin Riley, Editor-in- AB Assm. Extends for one year the State Bar’s authority to assess fees of the 1708 Judiciary state’s lawyers to fund its operations. Also will enhance the State Chief Committee Bar’s ability to recoup fees and costs from disciplined attorneys June Clark and lawyers who actions have resulted in payments from the Client Kate Howard Security Fund, and will make several technical, corrective changes Ray LeBov to the State Bar Act.

Story Manager Trusts & Estates Section of the State Bar Thomas Stevenson AB Harman Corrects a drafting error in a provision of the California Statutory 167 Will relating to distributions to persons under age 25, erroneously Contributors limiting the nomination of a custodian for beneficiaries to those Eraina Ortega beneficiaries between the ages of 18 and 25. Contains other techni- Francis Shehadeh cal provisions sponsored by Law Revision Commission.

Production Staff AB Assm. Prohibits a trustee from requiring a beneficiary to sign a release of Wendy Baham 1705 Judiciary liability as a condition of making a required distribution. Provides Committee that the bill’s provisions may not be construed as affecting the trus- Yvette Trevino tee’s right to maintain a reserve for reasonably anticipated ex- penses, nor to prohibit a trustee from withholding any portion of a

Subscribe Today! required distribution reasonably in dispute. SB Poochigian Expands the use of the notice of proposed action procedure pro- 1021 vided by trustees to beneficiaries regarding discretionary exercise The Capitol Connection is of powers under the Uniform Principal and Income Act (Probate delivered electronically Code §16337) for exercise of certain powers by trustees (Two-year bill). each month to subscribers at no charge. Business Law Section of the State Bar People interested in sub- AB Chavez Exempts "bridge" loans made by capital venture companies from scribing may contact: 169 the provisions of the Finance Lenders Law if a number of specified conditions are met. Yvette Trevino AB Harman Indexes to the US Bankruptcy Code (11 U.S.C. Section 104) the 916-323-3121, 182 exemptions available for California judgment debtors and debtors [email protected] in federal bankruptcy cases available under Code of Civil Proce- dure §§703.140(b) and 704.010 et seq.

SB Romero Proposes to add Section 17.1 to the Corporations Code to facilitate Looking for a past issue of 220 the filing of facsimile documents that are presented for filing under the Capitol Connection? the Code to either the Secretary of State or the Department of Cor- Find it online! The Capitol porations. Connection is available on the Internet at Consumer Attorneys of California www.courtinfo.ca.gov/ AB Steinberg Eliminates secrecy agreements in elder abuse cases. 634 courtadmin/aoc/ SB Romero Extends the two year personal injury statute of limitations to ac- capconn.htm. 333 tions involving uninsured motorists. SB Kuehl Limits the circumstances under which an anti-SLAPP motion to 515 strike may be sought.